Retailer Poundworld has gone into administration putting more than 5,000 jobs at risk.
The collapse of the firm makes this the biggest retail insolvency so far this year by job numbers. With Deloitte being appointed joint administrators across all of the company’s 335 stores nationwide.
Deloitte has said that the business would continue trading, with no store closures or redundancies planned at this time. A buyer for all or part of the business is now being sought.
In a statement, Deloitte said: “Like many high street retailers, Poundworld has suffered from high product cost inflation, decreasing footfall, weaker consumer confidence and an increasingly competitive discount retail market.”
It’s the latest High Street retailer to run into trouble.
Just last week, department store chain House of Fraser said it would close 31 of its 59 shops, citing the need to adapt to “fundamental change” in the retail industry.
Elsewhere, electronics chain Maplin and toy chain Toys ‘R’ Us both collapsed into administration earlier this year.